"Every year we have been growing between 10 to 15 per cent but this fiscal I do not think we would be able to grow at a similar rate. Even if the exports maintain their earlier levels, we would be satisfied," Sanjay Kothari, newly elected chairman of the Gem and Jewellery Export Promotion Council told PTI.
A 10-15 per cent volatility in prices of precious metals is a rare phenomenon, he said adding that "this is the first time such fluctuations are being seen, which are not in the interest of the consumer."
"The price volatility has dealt a blow to the jewellery industry and ways to enhance consumption need to be adopted worldwide," he said.
Gems and jewellery need to be promoted in manner similar to the way luxury items like perfumes and watches are being promoted across the world, Kothari added. The Indian gems and jewellery export account for around $17 billion.
The gems and jewellery export, including that of rough diamonds, has gone down by seven per cent between April to August 2006 at $6356 million as against $6826 million in the corresponding period last year.
Citing reasons like gold price volatility, oil prices and option of luxury goods for the slump in exports, Kothari said, "These factors would continue to play a significant role in the exports of jewellery being affected."
Kothari however sees a good demand during the festive season and added that a final picture could be arrived at thereafter.
The Gem and Jewellery industry witnessed a growth of 6.32 per cent with total exports reaching $16669.11 million in 2005-06 as compared to $15678 million in 2004-05.
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